- L’Oreal’s like-for-like sales grew by 3.4%, below the estimate of 5.88%.
- Professional products surpassed expectations with a 6.1% sales growth against an estimate of 4.5%.
- Consumer product sales grew only by 1.4%, missing the 5.18% estimate.
- L’Oreal Luxe performed well with sales increasing by 5.8%, beating the estimate of 4.43%.
- Dermatological beauty sales underperformed with just a 0.8% increase, far below the 11.2% estimate.
- North America saw strong comparable sales growth of 5.2%, exceeding the expected 3.67%.
- North Asia experienced a decline in sales by 6.5%, compared to an estimated growth of 2.15%.
- European sales grew by 5.6%, under the 6.43% estimate.
- The region including South Asia Pacific, Middle East, North Africa, and Sub-Saharan Africa saw sales rise by 8%, below the expected 12.4%.
- Latin America’s sales increased by 8.6%, failing to meet the 11.7% estimate.
- Currency fluctuations had a negative impact of 2.1% on sales.
- Changes in the scope of consolidation positively impacted sales by 2.1%.
- Total sales amounted to €10.28 billion, missing the estimate of €10.57 billion.
- Professional product sales hit €1.16 billion, slightly above the €1.15 billion estimate.
- Consumer product sales reached €3.75 billion, below the €3.92 billion forecast.
- L’Oreal Luxe sales amounted to €3.77 billion, exceeding the €3.73 billion estimate.
- Dermatological beauty sales were €1.60 billion, missing the €1.81 billion estimate.
- Market sentiment is divided with 15 buy recommendations, 11 holds, and 5 sells.
A look at L’Oreal SA Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores for L’Oreal SA, the company appears to have a positive long-term outlook. With a Growth score of 4 and a Resilience score of 4, L’Oreal SA is positioned well for continued expansion and stability in the face of challenges. These scores reflect the company’s ability to adapt and grow in the competitive health and beauty aids market. While the Value and Dividend scores are more moderate at 2, indicating room for improvement in these areas, the Momentum score of 3 suggests some positive market trends supporting the company’s performance.
L’Oreal SA, a manufacturer, marketer, and distributor of health and beauty aids, has a diverse product portfolio catering to both professional hairdressers and general consumers. From colorants and styling products to cosmetics, perfumes, and skin care items, L’Oreal SA offers a wide range of products across various channels including department stores, perfumeries, and travel stores. Additionally, the company is involved in the production of luxury cosmetics and perfumes, further diversifying its revenue streams. Overall, with solid growth and resilience scores, L’Oreal SA is positioned to maintain its market presence and continue developing innovative beauty solutions for its customers.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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